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USAVE Blockchain (USAVE) today announced an agreement to partner with GMEX Group (GMEX), a provider of innovative exchange, post-trade and digital technology solutions, to build the digital Monaco Gold Spot Exchange (MGX) which will enable the fair and secure trading of physical eco-responsible gold.

GMEX will deliver the full GMEX Fusion technology suite to the new exchange as part of its Market Advancement Programme. As part of the agreement GMEX has also acquired a 30% stake in USAVE.

USAVE provides a disruptive alternative ecosystem for today’s gold production and distribution standards. It enables an ethically sourced gold supply chain from the miner, with connected hardware recording production, through to tracking and fair payments using Blockchain technology. In turn, this allows visibility and accessibility for a wider market to physically trace gold and enables human transformation for mining communities globally.

On 11 July, USAVE announced an Initial Coin Offering (ICO) to power the development of the platform to raise a hard cap of $130M, with the pre-ICO sale set to go live on 17th September 2018.

Powered by the full GMEX Fusion suite of products, the MGX will be an access point for ethically sourced gold from around the world, in addition to the gold produced through the USAVE ecosystem. This Commodity Exchange will act as the accessible final block in the USAVE value chain.

GMEX Fusion will provide MGX with the ForumMatch multi-asset exchange trading platform supporting both traditional assets and tokenised digital assets, including front-end, matching engine, market data, market surveillance, reporting, ForumCrypto wallet and settlement manager for custody of digital tokenised gold and other assets. The technology will run a high speed private Blockchain and secure cold storage linked to external wallets and a public Blockchain addressing provenance of gold from demand to supply linking physical gold and storage.

The MGX will offer a solution based on the trading of physical gold and will not operate, as some others do, by trading duplicates of international gold derivative contracts. Using the USAVE token as the main means of payment, the MGX will establish a strong physical market, where physical gold is exchanged and stored in the USAVE vault or delivered to the customer’s vault of choice.

MGX will also create digital gold assets that can be transferred between counterparties within the MGX ecosystem and facilitate the transfer of gold, as well as the financing of its production by using it as security to lend against. By trading on MGX, companies can be confident that any physical gold and digital gold assets traded through the spot exchange will meet the highest international standards.

“We are delighted to partner with GMEX to create a fair and secure exchange for ethically sourced gold worldwide. Our mission is to develop a complete and sustainable gold ecosystem and guarantee the origin of all eco-responsible gold as it moves through the entire supply chain. This partnership allows us to offer an efficient and stable means of physical gold exchange within our ecosystem and use technology to combat the risk of today’s volatile cryptocurrency markets,” commented Selim Fendi, Co-Founder and CEO of USAVE.

As part of the agreement, Hirander Misra, Chairman & CEO of GMEX has become a Director of USAVE and commented, “We are very pleased to be working with the USAVE to fully support their ICO and to expand their ecosystem to include a digital gold exchange underpinned by ethically sourced physical gold.” Adding, “As part of our Market Advancement Programme, this project is another example of how we are committed to using the most appropriate business knowledge and technology whether traditional or digitally enabled by blockchain to bring positive change to commodities markets.”

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